401(k) withdrawal calculator graphic illustrating retirement tax and penalty planning
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401(k) Cash-Out vs. Loan Impact Calculator

Compare an early withdrawal to a 401(k) loan. Includes age rules (59½), federal + optional state tax, and a Greg-style scenario.

Inputs

Penalty applies if under 59.5 (unless an exception applies).
Used for context; this calculator estimates taxes via bracket selection.
Example: down payment, debt payoff, emergency.
Simple estimate; real tax outcomes vary.
Some states tax retirement distributions differently (or not at all). Use an estimate.
Enter as a percent (e.g., 5 for 5%).

401(k) Loan Option (Comparison)

Typical plan cap often $50,000 (plan rules vary).
Often “prime + 1%” style, varies by plan.
Many plans require 5 years (longer for home purchase sometimes).

Important: This tool uses simplified estimates. Actual outcomes depend on IRS rules, plan rules, exceptions, withholding, deductions, state law, and your tax return. Use this for education and planning—not as tax advice.

This 401(k) withdrawal calculator is designed to help you understand how age, taxes, penalties, and borrowing options affect the actual cash you receive when accessing retirement funds. Many Gen X households are surprised to learn how quickly penalties and taxes can reduce a large withdrawal, especially before age 59½.

For additional planning tools, visit the RetireCoast Calculator Hub , where you’ll find more retirement calculators, including our Tax-Free Retirement Withdrawal Calculator . Using multiple calculators together can provide a clearer picture of how different strategies may impact your long-term retirement income.

While this 401(k) withdrawal calculator offers practical estimates for planning purposes, retirement rules and tax treatment vary by plan and individual circumstances. For authoritative guidance and the most current federal rules governing 401(k) plans, review the official IRS resource on retirement plans at irs.gov/retirement-plans/401k-plans .